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Minimizing Employee Turnover Is Important for Any Rapidly Growing Business

1 March 2020 No Comment

You had an idea for your business, developed a plan, used your savings and investments from friends, family, and conventional funders to finance your company. Things developed better than you expected, and your company quickly grew into a healthy enterprise.

With strong forecasted sales and lucrative business opportunities around the corner, you feel like the time is ripe for expansion. Instead of turning to a traditional funder that can take months to process your application and provide the funds, you decided to get commercial funding for your project from a reputable alternative funder that specializes in assisting small businesses with fast and reliable funding offered on reasonable terms.

During this pivotal period, it’s important to have all your bases covered. One of the factors that can curtail your expansion plans is employee turnover. While every business experiences employee turnover, a high turnover rate can be problematic for a rapidly growing business.

You’ve invested time and money training your employees. They’re an important factor in your business’s success so far. At this critical time, you need them more than ever. You may need them to manage the core business while you invest in new equipment, purchase inventory, or renovate for your new project. You may also need to retrain your top employees to support the expansion. Here are a few ways you can minimize employee turnover in your rapidly growing business:

#1 Offer Incentives

As crucial components of your company, your senior employees may want monetary incentives for taking on new responsibilities and learning new skills. If your business won’t offer competitive wages, then they’ll find jobs elsewhere.

Research the salary range for similar jobs in your city and offer them competitive paychecks and benefits. Remember, commercial funding solutions can be used to all operational costs associated with your new project, including staff.

Aside from monetary incentives, offer them a career ladder. Employees who see a career path in a company have something to work towards. With a sense of direction, they’re more likely to be loyal to the company.

#2 Hire Employees That Match the Company Culture

It’s easier to minimize employee turnover when employees fit in well with your business. When hiring employees, ask the right questions to see if their values match the company culture. For example, if you’re looking for staff who can think on their feet, then ask questions to see if they can think independently or if they prefer to be managed. Employees who feel out of place in your company are less like to stay, even if you offer more incentives.

#3 Communicate Clearly

It’s human nature to feel anxious around changes, even if the changes are positive. If your growing business is taking on a new project that will impact the company, then communicate this to the employees. Keeping them in the dark can add to their anxiety and motivate them to seek employment elsewhere. Likewise, give your employees the recognition, encouragement, and respect they deserve at this critical time. Without overdoing it, praise them for the positive role they’ve played.

Some employees will always move on to explore different career paths, start their businesses, or focus on family, regardless of your actions. While you can’t erase employee turnover, you can certainly minimize it by paying attention to your staff.

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